Loan / Limit Against Property

Prospective Borrower should have experience in the trade, proven past track integrity and satisfactory market report.

Newly established concerns can also be financed if the Key persons controlling the business have proven past track, integrity and satisfactory market repot along with their project report.

Scope
Scope of the Scheme is to cover retail & wholesale traders/manufactures especially, the traders/manufactures who have satisfactory financial background and good collateral security to offer such as

Provisional Financial Papers as on latest date, if the final B/s is more than 6 months old

Detail of stock & fixed assets hypothecated in case of loan for business purpose..

Projections for next 2-3 Years.

Up to date VAT Returns/Sale Tax Returns.

PAN and ITRS of the firm/Company, Directors and guarantor for the last 3 Years.

ID, Residential Proof of the borrower/Partner/Director/guarantor.

Photocopies of the title Deeds for the legal verification/valuation memorandum of Article, AOA, Certificate of incorporation, Certificate of Commencement of business (in case of Public Ltd, Co.) Resolution

Partnership Deed in case of Partnership Firm.

Verification Report by Branch Manager.

Valuation of Property by approved Valuer along with Its Photographs and Location Map

Loan Documentation for Disbursement of Loan
As per prevailing Norms issued by Head Office.

Repayment
LAP Limit/overdraft repayable on Demand and is subject to renewal within period of 12 months.
LAP Term Loan repayable in a maximum period of 10 Years or as approved by Board in monthly-equated installment and is to be reviewed by sanctioning Authority once in 3 Years.

Other important precautionary measures of the scheme

The Property dealers/construction contractors/builders are not eligible for lending under the scheme.

Property in the name of the borrower or belonging to close relatives (Spouse, Parents, Son & Daughter) shall only be accepted.

​The owner of the property (other than the borrower) should also offer his/her personal guarantee for loan/limit.

​The Loan/limit should not be increased due to increase in the valuation of the mortgaged property.

​The advances granted under the said scheme should be classified as per the business/economic activity of the Borrower & not under the Real Estate Exposure.